Following a tumultuous week in international politics, Donald Trump has once again walked back the promise of tariffs on several European allies after a meeting with NATO Secretary-General Mark Rutte. Earlier this week, the president warned of 10 per cent tariffs on eight European countries, including the UK and France, if they should refuse his plans to buy Greenland. Using tariffs as a pressing threat is not a new tool in Trump’s arsenal, and this situation echoes previous episodes in which he has threatened tariffs on Canada, China, and France in order to get policy concessions. However, none of these tariffs have actually been put in place. Due to this repeating behaviour, analysts have coined the term‘TACO’, short for ‘Trump Always Chickens Out’, and Thursday 22nd January, the day he recanted his tariff threats, was aptly named‘Taco Thursday’.
As this ‘TACO’ trick has proven to be a repeating phenomenon in Trump’s approach to foreign policy — threatening high tariffs and spooking the markets only to suddenly change his course — his threats of tariffs steadily lose any kind of credibility. Through this, he risks turning himself into the boy who cried wolf, with future threats being ignored by both enemies and allies. The shock value that Trump once relied on as a shortcut to political leverage is now wearing off. Looking deeper into it, there is no wonder he does not carry these threats out, he simply cannot afford it. Contrary to what Trump wants the US public to believe, foreign countries are not the only ones to pay the price for tariffs. US importers are estimated to pay for at least 40 per cent of tariffs, forcing them to jack up their prices. The sum of this then becomes lower purchasing power for the US consumer. Economic ramifications from tariffs, coupled with the affordability crisis facing the US, mean that Trump is not in a place to be imposing new tariffs, which would arguably increase, not alleviate, voter tensions ahead of mid-term elections.
Ultimately, the latest ‘TACO’ trick combined with the fact that tariffs directly impact the US consumer, reveals the shallowness of Trump’s constant tariff threats. He cannot follow through without revealing their economic ramifications. Repeatedly promising and pulling back also robs Trump of the shock value his seemingly unpredictable and erratic approach to foreign policy once had. As the international community realises the emptiness of his threats, he no longer has the power to unsettle allies and dominate the agenda. His unpredictable behaviour has now become predictable, and with the looming affordability crisis, his words hold even less weight. When retreat follows every promise of escalation, Trump’s foreign policy becomes a spectacle more than anything, and far from something to be taken seriously.
Photo by Igor Omilaev on Unsplash
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Trump’s tariffs and walkbacks — Why Trump cannot afford more ‘TACOs’ in 2026
Following a tumultuous week in international politics, Donald Trump has once again walked back the promise of tariffs on several European allies after a meeting with NATO Secretary-General Mark Rutte. Earlier this week, the president warned of 10 per cent tariffs on eight European countries, including the UK and France, if they should refuse his plans to buy Greenland. Using tariffs as a pressing threat is not a new tool in Trump’s arsenal, and this situation echoes previous episodes in which he has threatened tariffs on Canada, China, and France in order to get policy concessions. However, none of these tariffs have actually been put in place. Due to this repeating behaviour, analysts have coined the term‘TACO’, short for ‘Trump Always Chickens Out’, and Thursday 22nd January, the day he recanted his tariff threats, was aptly named‘Taco Thursday’.
As this ‘TACO’ trick has proven to be a repeating phenomenon in Trump’s approach to foreign policy — threatening high tariffs and spooking the markets only to suddenly change his course — his threats of tariffs steadily lose any kind of credibility. Through this, he risks turning himself into the boy who cried wolf, with future threats being ignored by both enemies and allies. The shock value that Trump once relied on as a shortcut to political leverage is now wearing off. Looking deeper into it, there is no wonder he does not carry these threats out, he simply cannot afford it. Contrary to what Trump wants the US public to believe, foreign countries are not the only ones to pay the price for tariffs. US importers are estimated to pay for at least 40 per cent of tariffs, forcing them to jack up their prices. The sum of this then becomes lower purchasing power for the US consumer. Economic ramifications from tariffs, coupled with the affordability crisis facing the US, mean that Trump is not in a place to be imposing new tariffs, which would arguably increase, not alleviate, voter tensions ahead of mid-term elections.
Ultimately, the latest ‘TACO’ trick combined with the fact that tariffs directly impact the US consumer, reveals the shallowness of Trump’s constant tariff threats. He cannot follow through without revealing their economic ramifications. Repeatedly promising and pulling back also robs Trump of the shock value his seemingly unpredictable and erratic approach to foreign policy once had. As the international community realises the emptiness of his threats, he no longer has the power to unsettle allies and dominate the agenda. His unpredictable behaviour has now become predictable, and with the looming affordability crisis, his words hold even less weight. When retreat follows every promise of escalation, Trump’s foreign policy becomes a spectacle more than anything, and far from something to be taken seriously.
Photo by Igor Omilaev on Unsplash
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